Knowledge Check 01 Which of the following statements about the accounting for convertible bonds is true? (Select all that apply.) Check All That Apply Under IFRS, convertible debt is divided into its liability and equity elements Under GAAP, convertible debt is divided into its liability and equity elements. Under IFRS, the entry used to record convertible bonds is the same as that currently used under U.S. GAAP. If the fair value of the bonds cannot be determined, that value can be calculated as the present value of the bonds' cash flows, using the market rate of interest